Fundamental analytics

GBP / USD – bulls finally seized the initiative, GBP growth target around 1.3000


British pound is trading around daily open levels, while maintaining good opportunities to continue the bullish trend that emerged yesterday.

Yesterday Bank of England head comments supported GBP, as well as discreet optimism from the meeting of European Commission President Jean-Claude Juncker and British Prime Minister Theresa May. Bank of England left all its monetary policy parameters unchanged, but was able to pleasantly surprise the markets with maintaining plans to raise interest rates in the coming years, despite lower forecasts for economic growth rates and uncertainty associated with Brexit. In addition, Mark Carney noted that he still considers the “hard” scenario of leaving EU as less likely.

A cardinal change in the news background again increases investor interest in the British currency, even globally investors have less risk appetite this week. On the background of a strong dollar, the pound looked very confident yesterday, managing to end the day with a good plus, and today we can expect continued growth.

On GBP/USD chart, there are positive changes as well. The bulls made a very strong bid for the completion of the corrective movement by closing the day above 1.2900. Support has been confirmed and now we can expect further development of the bullish move, first to 1. 3000, and next week to 1.3100.